Hi lampahome, It is a common practice in financial modeling ( https://en.wikipedia.org/wiki/Capital_asset_pricing_model).
[image: image.png] P_t is price at time t, R_t is "return", which is the variable they are trying to predict. Best, Charles On Wed, Jan 30, 2019 at 5:43 AM lampahome <pahome.c...@mirlab.org> wrote: > I found many cases in kaggle to predict the quantity or trends. They all > set the real quantity as y. > > But I have question is that does anyone set the changing ratio as y? > > Like: > > X y > Day1 0.2 > Day2 0.1 > Day3 0.15 > Day4 -0.1 > > y is the changing ratio compared with previous day. > > Why anybody set the real quantity(ex: sales, car numbers...etc) as y > rather than changing ratio as y? > > I want to know it's based on experience or other reasons > > thx > _______________________________________________ > scikit-learn mailing list > scikit-learn@python.org > https://mail.python.org/mailman/listinfo/scikit-learn >
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